Finance & Interest
Basic

Profit

The money left after subtracting cost from revenue.

Formula

Profit=RevenueCost\text{Profit} = \text{Revenue} - \text{Cost}

Variables

RevenueTotal sales
CostTotal expenses

Example

Revenue $5000 minus cost $3000 leaves a profit of $2000.

Did You Know?

Profit is what remains after every cost is paid — the ultimate scorecard of a business.